SHANGHAI, Aug 8 (SMM) – Spot copper continued to trade sluggishly on the morning of Thursday August 8 in Shanghai but sellers showed little inclination to ease offers.
Purchases by downstream consumers weakened in the week to Thursday August 8 while futures prices of copper rallied from lows. As noon of Thursday, spot premiums held steady at 50-100 yuan/mt, against the SHFE front-month August contract, barely changed for four straight days.
Traders favoured low-quality copper with a premium of 50 yuan/mt, while deals for high-quality copper mostly occurred at a premium of 80 yuan/mt. Offers of hydro-copper maintained at a premium of 30 yuan/mt.
As the import arbitrage window once opened this week, expectations of an influx of seaborne copper will break the deadlock in the spot market.
On Thursday August 8, the SHFE August contract climbed above 46,400 yuan/mt and ended at 46,420 yuan/mt at the end of the morning trading session, up 390 yuan/mt from that time on August 7.
At noon on August 8, high-grade copper traded at 46,430-46,560 yuan/mt and standard-quality copper traded at 46,400-46,530 yuan/mt.